Posting Language
Title
Approve an ordinance setting the assessment rate and approving a proposed 2026 assessment roll for the Austin Downtown Public Improvement District. Funding: This item has no fiscal impact.
Body
Lead Department
Financial Services Department
Fiscal Note
This item has no fiscal impact.
Prior Council Action:
June 9, 2022 - Approval of Resolution No. 20220609-081, authorizing a new PID with expanded boundaries from the original PID and authorizing the execution of an agreement with Austin DMO, Inc. d/b/a Downtown Austin Alliance.
February 23, 2023 - Approval of an agreement for management services with Austin DMO, Inc., d/b/a Downtown Austin Alliance, for a period of five years for a total contract amount of $79,197,757.
For More Information:
Kim Olivares, Director, Financial Services Department (512) 974-2924; Christine Maguire, Financial Services Department (512) 974-7131; Margaret Shaw, Financial Services Department (512) 974-6497.
Additional Backup Information:
This action will approve an ordinance setting the assessment rate and approving the proposed 2026 assessment roll for the Downtown Public Improvement District (DPID) which is required by State law. Approval of the proposed assessment roll is necessary so that notices may be sent to the property owners, giving them an opportunity to review the property valuations prior to the public hearing. All previously approved exemptions and exclusions from assessments are retained in this year's roll. Council requested that this assessment process be timed so that it coincides with the receipt of other real property tax bills. At their April 2, 2025 meeting, the Board of Directors of the Downtown Austin Alliance (DAA), which manages the Downtown PID, confirmed the proposed assessment rate of $0.0925/$100 valuation above $500,000.
A public hearing will be held on July 24, 2025 to consider the 2026 assessments for the DPID. State law requires a public hearing by the Council to consider the assessments. Each property owner has the right to appear at the hearing.
The Downtown PID encompasses an area of approximately 605 acres, from I- 35 westward to Nueces and San Antonio Streets, including portions of the Seaholm District. Its boundaries end at 15th Street to the north and extend south of Lady Bird Lake to include portions of the South Central Waterfront area. The PID was initially created by the Council at the request of property owners on April 15, 1993, to provide ongoing funding for enhanced services and improvements downtown. In 2022, at the request of property owners whose parcels summed to 51% of the total taxable value, Council approved a new PID with expanded boundaries to replace the original PID. Since its inception, the City has contracted with DAA to manage the DPID.